Can Internet of Things be considered a New Trend in Management?- 294179
1.) Introduction
The aim of this wiki page is to establish whether Internet of Things is a New Trend in Management, to achieve this objective Internet of Things will be introduced to the reader as a concept based on academic literature and backed by internet research. It will draw back on history of IoT and its development to establish whether it's new, use more recent data and statistics to show whether it's a trend and by introducing the reader to the applications of IoT drawn from research and visual aids such as pictured and videos establish whether Internet of Things can be used to manage and how.
Source: M. Weiser, The Computer for the 21st Century, 1991.
The concept of ‘Internet of Things’ as we know it Today has been initially put forward by Mark Weiser’s 1991 publication ‘The Computer for the 21st Century’, the term ‘Ubiquitous Computer’ that he used described enhancing computer use by connecting multiple devices through a physical network, invisible to the user (M. Weiser, 1991). The concept of a connected universe however dates back to the beginning of 20th Century.
On January 30th 1926 when asked about his forecast for the future, Nicholas Tesla predicted a world of perfectly applied wireless technology that will convert the earth into a huge brain enabling communication irrespectively of distance, wireless transmission that would revolutionise transportation and give beginning to television the way we know it Today (Interviewed by Kennedy for Collier, 1926).
The term ‘Internet of Things’ was first used by Kevin Ashton in 1999 in relation to supply chain management (K. Ashton, 2009). Since then other names have emerged; Internet of Everything, Machine-to-Machine communications, and Industrial Internet (Harvard Business Review, 2014). For the purpose of this assignment, names other than IoT might be used as alternative.
2.) What is IoT?
‘Internet of Things’ is a broad term used to describe the connection of devices into a network via use of advanced technologies. It is used as an umbrella keyword that disguises various characteristics related to the application of the Internet and the Web that enables widespread deployment of objects distributed anywhere on the planet, and equipped with capabilities to identify, sense and trigger. (Miorandi, Sicari, De Pellegrini, Chlamtac, 2012).
The concept and model of IoT considers omnipresent existence of a variety of things/ objects in the environment that through wired and wireless connections, and individual addressing structures are able to interact and cooperate in a network with other things/ objects to create new services/ applications and achieve common goals. (Vermesan, Friess, 2014).
IoT is transforming the function of traditional Internet from its primary role of connecting computers into networks and allowing users to browse the World Wide Web to using Internet to create smart environments that allow objects to connect with each other without any human interaction or trigger. By connecting Consumer, Business and Industrial networks IoT used the collaborations generated to create an open global network connecting people, data and things (Vermesan, Friess, 2013).
Source: Vijay Diwakar, trendsbuzzer, 2017.
3.) How does IoT work?
3.1) Basic concept of IoT
IoT is a concept that is based on three critical pillars of capabilities that objects otherwise known as ‘Things” require to become part of IoT network;
to be identifiable in the network;
to communicate by being able to store and send data about itself and;
to interact with other devices in the network and humans through use of scanners.
Objects in IoT network will not be able to function without applying all three of those capabilities, without any one the object wouldn't have the basic abilities required to participate in a IoT network (Miorandi et. al, 2012).
3.2) Advanced IoT systems
To build more advanced systems the capabilities mentioned above would be just a building base enhanced with other abilities as more projects require greater level of complexity in the future. Those might include ability to self service without being triggered and ability to adapt in any situation (Chlamtac, Conti, Liu, 2003).
In their 2010 publication, Mattern and Floerkemeier have extracted 8 ‘complimentary capabilities that taken together help to bridge the gap between virtual and physical world’.
As from a technical point of view the IoT isn’t a result of a single ground-breaking technology, there are already developments available that applied and connected together will create a very complex IoT network. The 8 capabilities are;
Communication and cooperation: ‘Things’ are enabled to network with the Internet and even with each other, to exchange data, make use of services and report any faults. Objects can communicate through technologies such as Wi-Fi, Bluetooth and Mobile Networks;
Addressability: Allows objects within an IoT network to be located and addresses via services available within the network such as name services and look- up tools. It also enables for objects to be remotely interrogated;
Identification: Unique identification enables ‘Things’ to access and share information about one another using RFID (Radio Frequency Identification) or NFC (Near Field Communication). By using the mediator tools such as Mobile Phone even objects without built- in energy can be scanned using optically readable bar codes i.e., QR (Quick Response Code);
Sensing: The use of sensors enables objects to collect information about their surroundings, record it, react to it directly or forward it;
Actuation: Actuators are used to manipulate the environment around ‘Things’ i.e., by conversion of electrical signals into mechanical movement. Actuators allow to control real-world processes remotely via the Internet;
Embedded processing of information: Smart objects are equipped with processor or micro-controller and storage capacity. It allows, for example, to process and interpret information from sensors, or to give ‘Things’ an ability to memorise how they have been used;
Localisation: Smart objects can be located and more complex ‘things’ are aware of their physical location. Through use of technologies such as mobile phone network, GPS RFID readers with known locations and radio beacons localisation is possible;
User interfaces: UI enable people to communicate with smart objects, either directly or indirectly i.e., through a smartphone. Many technology companies introduce innovative new user interfaces such as voice, image and gesture recognition ( Mattern, Floerkemeier, 2010).
3.3) Summary
Internet of Things networks enable objects to be connected into synchronised systems in which objects exchange various information about each other, complexity of which varies depending on the task programmed for the devices to do. Depending on the sector/ industry tasks assigned to objects within IoT will vary i.e., for car insurance purposes a black box installed in the car reports its location and speed to the server, on the other hand smart cities require a vast amount of sensors, cameras and other wireless enabled devices to perform all duties required for a smart city to function safely and efficiently.
4.) Analysis Createria
Before analysing whether IoT is new trend in management it is necessarily to establish what is meant by the term ‘New Trend in Management’.
4.1) New
As described by Oxford Dictionary, the term ‘New’ is an adjective used to describe something ‘Produced, introduced or discovered recently or now for the first time; not used before’ or ‘Already existing but seen, experienced or acquired recently for the first time’ or ‘Beginning anew and in a transformed way’ (OD, 2017)
Source: Oxford Dictionaries.
Cambridge Dictionary defines it as ‘recently created or having started to exist recently, ‘Different from one that existed earlier’ or ‘not previously used or owned’ (CD, 2017).
Source: Cambridge Dictionaries.
4.2) Trend
Business Dictionary describes trend as ‘a pattern of gradual change in a condition, output, or process, or an average or general tendency of a series of data points to move in a certain direction over time, represented by a line or curve on a graph (BD, 2017)
Source: Business Dictionary.
Additionally, Eric Feigenbaum (2017) explains that ‘trends can present the direction an industry or a line of business is taking. A trend can be many things; accountants saving money by moving to paperless billing, dentists using electronic diagnostic tools or an increase in number of shops opening in a city.’ In some cases; a trend might describe whether a business or industry is likely to succeed based on its environment and use of historical data and statistical analysis.
4.3) Management
According to Business Dictionary Management can be described as ‘the organisation and coordination of activities of a business in order to achieve set objectives.’ (businessdictionary, 2017).
Source: Business Dictionary.
There are various tasks that are included under the process of ‘Management’; setting objectives, planning, managing recourses, employ and manage the human and financial assets that business needs to achieve objectives, and evaluating results. Management also includes documentation and storage of facts and data for later. Management functions are not limited to managers and supervisors. Every member of the organisation has some management and reporting functions as part of their job (Stuhlman, 2009).
As organisations evolve and become more specialised in their industry, managers and directors look for new ways of optimising the workforce and processes to increase efficiency, decrease waste and reduce costs. Organisations tend to analyse data and processes from the past to develop new management approaches and as IT equipment becomes cheaper and widely available "managers are increasingly utilising IT to achieve these objectives." (Jones, George, Hill, 2009).
Mentioned above are the ways organisations manage their goals and objectives, however personal lives of people can also be managed. In our lives, we are our own managers setting individual goals, managing our finances, planning for the future and collecting data that can be used to analyse our household spending i.e., utility costs. ‘Because personal management is highly individualised, no two people’s approach towards goals will be the same’ (reference.com).
5.) Applications of IoT
5.1) Healthcare
As IoT is predicted to improve efficiency within the healthcare sector, researchers estimate that the IoT Healthcare market will be worth $117 million by 2020. By embedding IoT into medical equipment doctors will be able to monitor patients’ health more effectively, and by storing data from those devices it would be more straightforward to decide which patient requires priority hands on care. All the available data could be analysed to create a system of proactive management where patients are prevented from illnesses rather than cured when it’s too late (Graysen Christopher, 2016).
Equipping patients with IoT enabled wearable devices could increase efficiency by entering all information about the patient i.e., blood pressure, sugar levels directly from the device ready for the appointment. In 2016, NHS began ‘IoT Test Beds Programme’;
Diabetics Digital Coach that will enable Diabetics Type 1 and Type 2 patients to do ‘the right thing at the right time’ by managing their own condition.
Technology Integrated Health Management (TIHM), a two-year trial which will enable dementia suffering patients to live in their homes for longer, whilst via sensors and cameras their condition is constantly monitored and reported back to hospital. (NHS, 2016).
5.2) Smart transportation
Another area IoT could be used to improve is transportation; the possibilities are vast and could completely transform how we transport goods and commute. TomTom reports that in London during rush hour, an average journey time increases by 38% in comparison to uncontested roads, in the morning that figure jumps to 63% (TomTom Traffic Index) Monitoring and controlling traffic lights would contribute greatly towards reducing congestion, and save money in time and fuel wasted.
Sensitive goods transported by long-haul cargo operators are prone to environmental conditions and easily damaged. By installing sensors that constantly monitor temperature, humidity, light and vibration transport companies can eliminate those risks and protect the cargo, and by becoming more specialised also gain more customers (redhat software, 2016). DHL and Cisco estimated in 2015 that IoT technologies could have a total impact of $1.9 Trillion (Meola, 2016).
Source: IoT Brasil, 2015.
Embedding vehicles with IoT devices could also greatly increase road safety for drivers and pedestrians. Following the Road Safety 2013 Report by World Health Organisation;
The total number deaths by road traffic accidents remains is at1.24 million per year;
20 million drivers and 50 million passengers are injured in accidents;
$518 billion is estimated as global loses from the accidents.
By equipping cars with sensors, cameras and enabling communication with databases drivers could receive real life updates when driving dangerously to reduce risks and number of causalities associated with road accidents (WHO, 2013; Galinina, Balandin and Koucheryavy, 2016)
Aviation is part of transportation industry that has already been reaping benefits of implementing smart systems into their operations. In 2008 Schiphol Airport in Amsterdam had installed a pioneering luggage scanning system by introducing RIFD to identify luggage and by using robotic arms send the luggage in the right direction. Advancement in technologies allowed airports to introduce more complex systems i.e., Aalborg and Helsinki where systems that track luggage on their journey were introduced in 2010 and 2012 (Lo, 2012).
In 2016 a luggage robot had been trailed at Geneva Airport; testing its ability to collect luggage from passengers before they enter the airport and give out a confirmation receipt passenger would use to retrieve their luggage at airport of their destination. The robot would then make its way to hand the luggage to loading area (Sita, 2016).
Source: Sita, 2016.
5.3) Retail
IoT is already present in retail industry and allows to improve efficiency, customer experience and better manage the supply chain;
Supply chains use RFID sensors to track goods;
Systems improving delivery times;
In the future IoT will also allow to get insight into doing business in new ways as more companies introduce the technology (Goldman, 2016).
Source: Guy Courtin, Constelation Research, 2015.
By introducing IoT retailers would also become more capable to prevent shrinkage and fraud which are both significant issues and totalled to $128BN loses in 2014 worldwide (GRTB, 2014). The problem is caused not just by shop lifters but also employees who stole $50BN and aren’t as easy to monitor as shoplifters. Introducing smart shelves and system of cameras that monitors stock (statistic-brain, 2015).
On December 5th 2017Amazon opened its the first smart shop in Seattle, using highly advanced technologies customers are scanned upon entering and monitored on their shopping journey in a completely automated store that was made possible using extra sensitive sensors and cameras. Upon leaving the store Amazon would send a list of shopping scanned to the shopper to approve and credit their account (Farrell, 2016).
Source: Amazon, 2016.
5.3a) Negative impact of IoT on employment.
Whilst Amazon is trying to popularise the idea of smart shopping with plans to expand the network of autonomous shops shortly (Bensinger and Stevens, 2016), there are dangers that it could have a disastrous impact on economy and employment. Research published by British Retail Consortium in February 2016 predicts that changes in organisation of work, closure of retail stores and improvements in productivity will cause a loss of up to 900,000 jobs by 2025 (BRC, 2016). Whilst the figure is an estimate, there is an inevitable risk that changes in management and organisational structure caused by IoT implementation enable companies to reduce their employee numbers. Reducing numbers of employees will allow businesses to become more autonomous and unemployment levels can lead to an economy crisis.
Source: British Retail Consortium, 2020 Retail Report, 2016.
6.) Conclusion
6.1) Is IoT new?
Drawing back to the definitions mentioned in section 4.1); the concept behind IoT is not new at all, N. Tesla had visualised the future and conceptualised IoT in his prediction. Unfortunately, at the time no technology was available to put his words into action, however on the other hand, the applications of IoT are new and have only existed in the last 20 years but have been seen applied in different sectors for the last 10 years. Currently market research reports estimate a prosperous future for IoT industry so whilst the concept is old, new ideas for modernised products and new applications will keep emerging. In the future new industries will also emerge designated to manage IoT and manufacture IoT equipment on large scale.
6.2) Is it a trend?
Drawing back to definition of a trend in section 4.2); it is associated with a change of direction, at gradual pace and it can occur in a condition, output or a process that tends to happen in a pattern. On that basis it is right to say that IoT is certainly a trend of today, dating back to early 2010 and before basic IoT projects have started emerging to improve current processes i.e., Airport luggage control. Technological advancement development has increased massively over the years, therefore IoT has since found many applications in several industries, in some ways revolutionising processes and enabling things that seemed unachievable before IoT emerged. Current applications of IoT are already pioneering through saving people’s lives, allowing for large savings, improving comfort of patients shaping a direction for new industries to emerge which draws back to Feigenbaum in section 4.2).
6.3) Management
The first use of the phrase IoT is of large significance when establishing whether it can be considered ‘Management’. It was first referring to management of supply chain; a complex operation that requires many components to work together seamlessly to achieve the objectives; in this case delivery of goods. Through technological advancements the term had gained a much broader meaning and is now used to described very complex networks connected together that can amount of billions of objects.
There are various uses for IoT depending on the sector it’s applied to, i.e., tracking parcels requires far less complexity and advancement than a smart city project. The capabilities applied to the system are tailored to individual requirements and some tasks required to perform are very unique but all IoT environments are designed by human management who set out the requirements and will have their specific needs and reasoning for implementing them. Drawing back to the definitions of management in section 4.3); managers are required to perform a lot of duties, and IoT enables to improve current ways of doing things and introducing new aspects of management which are achieved faster than if delegated to an employee. As quoted by George in 2009 managers apply IT to manage things more efficiently and using IoT is becoming increasingly popular.
Managers plan IoT systems before implementing them and always look for new ways to improve already existing environments. As presented in Section 5.1) of the wiki; The Healthcare sector could benefit greatly from better management of patients through implementing IoT.
It will allow healthcare system/ professionals to;
introduce savings in cash;
improve diagnosis and;
individualise treatment.
Amongst many other benefits that will be designed as technology becomes more advanced and cheaper to obtain. Judging by the trends in IoT and technological advancement over the recent years it is safe to assume that systems will grow large and require no human interaction for very prolonged periods of time. It will allow for better management of resources through improved visibility and ability to automate process so much that less employees will be required, jobs will be replaced by robots in great numbers however at this time only short term predictions can be made due to external factors such as policies, politics etc. It is therefore safe to say that IoT is a very efficient management tool from business perspective allowing to reap large benefits by increasing efficiency and reducing costs of running business.
IoT is such broad concept however that its uses in the future will far exceed applications of Today; people will reap personal benefits of its use by being able to better manage their own time, save money, monitor their own health and be in control of many aspects of life in a more accessible way that management of personal chores will be connected and easily controlled from one device. IoT impact on humans however could result in having less interaction with each other in real life because of the availability of IoT products that will connect people remotely in such way that it could substitute the need for human contact.
7.) References
Amazon, (2016). Introducing Amazon Go and the world’s most advanced shopping technology. [video] Available at: https://www.youtube.com/watch?v=NrmMk1Myrxc [Accessed 10 Feb. 2017].
Chlamtac, I., Conti, M. and Liu, J. (2003). Mobile ad hoc networking: imperatives and challenges. Ad Hoc Networks, 1(1), pp.13-64.
Christopher, G. (2016). Internet of Things in healthcare: What's next for IoT technology in health. [online] ComputerworldUK. Available at: http://www.computerworlduk.com/iot/iot-centred-healthcare-system-3643726/ [Accessed 10 Feb. 2017].
Galinina, O., Balandin, S. and Koucheryavy, Y. (2016). Internet of Things, Smart Spaces, and Next Generation Networks and Systems. 1st ed. Cham: Springer International Publishing.
Global Retail Theft Barometer, (2014). A study of the cost of merchandise theft and merchandise availability for the global retail industry 2013-2014. [online] New Jersey: CheckPoint Systems, pp.16-18. Available at: https://www.odesus.gr/images/nea/eidhseis/2014/GRTB-2013-14-Eng.pdf [Accessed 10 Feb. 2017].
Mattern, F. and Floerkemeier, C. (2010). From the internet of computers to the internet of things. In: K. Sachs, I. Petrov and P. Guerrero, ed., From active data management to event-based systems and more, 1st ed. [online] Berlin: Springer-Verlag Berlin, pp.242-259. Available at: http://dl.acm.org/citation.cfm?id=1985645 [Accessed 10 Feb. 2017].
Miorandi, D., Sicari, S., De Pellegrini, F. and Chlamtac, I. (2012). Internet of things: Vision, applications and research challenges. Ad Hoc Networks, 10(7), pp.1497-1516.
Oxford Dictionaries | English. (2017). new - definition of new in English | Oxford Dictionaries. [online] Available at: https://en.oxforddictionaries.com/definition/new [Accessed 10 Feb. 2017].
Vermesan, O. and Friess, P. (2013). Internet of things: Converging Technologies for Smart Environments and Integrated Ecosystems. 1st ed. Aalborg: River Publishers.
Vermesan, O. and Friess, P. (2014). Internet of things - from research and innovation to market deployment. 1st ed. Aalborg: Rivers Publisher, p.8.
1.) Introduction
The aim of this wiki page is to establish whether Internet of Things is a New Trend in Management, to achieve this objective Internet of Things will be introduced to the reader as a concept based on academic literature and backed by internet research. It will draw back on history of IoT and its development to establish whether it's new, use more recent data and statistics to show whether it's a trend and by introducing the reader to the applications of IoT drawn from research and visual aids such as pictured and videos establish whether Internet of Things can be used to manage and how.
Table of Contents
Source: M. Weiser, The Computer for the 21st Century, 1991.
The concept of ‘Internet of Things’ as we know it Today has been initially put forward by Mark Weiser’s 1991 publication ‘The Computer for the 21st Century’, the term ‘Ubiquitous Computer’ that he used described enhancing computer use by connecting multiple devices through a physical network, invisible to the user (M. Weiser, 1991). The concept of a connected universe however dates back to the beginning of 20th Century.
On January 30th 1926 when asked about his forecast for the future, Nicholas Tesla predicted a world of perfectly applied wireless technology that will convert the earth into a huge brain enabling communication irrespectively of distance, wireless transmission that would revolutionise transportation and give beginning to television the way we know it Today (Interviewed by Kennedy for Collier, 1926).
The term ‘Internet of Things’ was first used by Kevin Ashton in 1999 in relation to supply chain management (K. Ashton, 2009). Since then other names have emerged; Internet of Everything, Machine-to-Machine communications, and Industrial Internet (Harvard Business Review, 2014). For the purpose of this assignment, names other than IoT might be used as alternative.
2.) What is IoT?
‘Internet of Things’ is a broad term used to describe the connection of devices into a network via use of advanced technologies. It is used as an umbrella keyword that disguises various characteristics related to the application of the Internet and the Web that enables widespread deployment of objects distributed anywhere on the planet, and equipped with capabilities to identify, sense and trigger. (Miorandi, Sicari, De Pellegrini, Chlamtac, 2012).
The concept and model of IoT considers omnipresent existence of a variety of things/ objects in the environment that through wired and wireless connections, and individual addressing structures are able to interact and cooperate in a network with other things/ objects to create new services/ applications and achieve common goals. (Vermesan, Friess, 2014).
IoT is transforming the function of traditional Internet from its primary role of connecting computers into networks and allowing users to browse the World Wide Web to using Internet to create smart environments that allow objects to connect with each other without any human interaction or trigger. By connecting Consumer, Business and Industrial networks IoT used the collaborations generated to create an open global network connecting people, data and things (Vermesan, Friess, 2013).
Source: Vijay Diwakar, trendsbuzzer, 2017.
3.) How does IoT work?
3.1) Basic concept of IoT
IoT is a concept that is based on three critical pillars of capabilities that objects otherwise known as ‘Things” require to become part of IoT network;
Objects in IoT network will not be able to function without applying all three of those capabilities, without any one the object wouldn't have the basic abilities required to participate in a IoT network (Miorandi et. al, 2012).
3.2) Advanced IoT systems
To build more advanced systems the capabilities mentioned above would be just a building base enhanced with other abilities as more projects require greater level of complexity in the future. Those might include ability to self service without being triggered and ability to adapt in any situation (Chlamtac, Conti, Liu, 2003).
In their 2010 publication, Mattern and Floerkemeier have extracted 8 ‘complimentary capabilities that taken together help to bridge the gap between virtual and physical world’.
As from a technical point of view the IoT isn’t a result of a single ground-breaking technology, there are already developments available that applied and connected together will create a very complex IoT network. The 8 capabilities are;
3.3) Summary
Internet of Things networks enable objects to be connected into synchronised systems in which objects exchange various information about each other, complexity of which varies depending on the task programmed for the devices to do. Depending on the sector/ industry tasks assigned to objects within IoT will vary i.e., for car insurance purposes a black box installed in the car reports its location and speed to the server, on the other hand smart cities require a vast amount of sensors, cameras and other wireless enabled devices to perform all duties required for a smart city to function safely and efficiently.
4.) Analysis Createria
Before analysing whether IoT is new trend in management it is necessarily to establish what is meant by the term ‘New Trend in Management’.
4.1) New
As described by Oxford Dictionary, the term ‘New’ is an adjective used to describe something ‘Produced, introduced or discovered recently or now for the first time; not used before’ or ‘Already existing but seen, experienced or acquired recently for the first time’ or ‘Beginning anew and in a transformed way’ (OD, 2017)
Source: Oxford Dictionaries.
Cambridge Dictionary defines it as ‘recently created or having started to exist recently, ‘Different from one that existed earlier’ or ‘not previously used or owned’ (CD, 2017).
Source: Cambridge Dictionaries.
4.2) Trend
Business Dictionary describes trend as ‘a pattern of gradual change in a condition, output, or process, or an average or general tendency of a series of data points to move in a certain direction over time, represented by a line or curve on a graph (BD, 2017)
Source: Business Dictionary.
Additionally, Eric Feigenbaum (2017) explains that ‘trends can present the direction an industry or a line of business is taking. A trend can be many things; accountants saving money by moving to paperless billing, dentists using electronic diagnostic tools or an increase in number of shops opening in a city.’ In some cases; a trend might describe whether a business or industry is likely to succeed based on its environment and use of historical data and statistical analysis.
4.3) Management
According to Business Dictionary Management can be described as ‘the organisation and coordination of activities of a business in order to achieve set objectives.’ (businessdictionary, 2017).
Source: Business Dictionary.
There are various tasks that are included under the process of ‘Management’; setting objectives, planning, managing recourses, employ and manage the human and financial assets that business needs to achieve objectives, and evaluating results. Management also includes documentation and storage of facts and data for later. Management functions are not limited to managers and supervisors. Every member of the organisation has some management and reporting functions as part of their job (Stuhlman, 2009).
As organisations evolve and become more specialised in their industry, managers and directors look for new ways of optimising the workforce and processes to increase efficiency, decrease waste and reduce costs. Organisations tend to analyse data and processes from the past to develop new management approaches and as IT equipment becomes cheaper and widely available "managers are increasingly utilising IT to achieve these objectives." (Jones, George, Hill, 2009).
Mentioned above are the ways organisations manage their goals and objectives, however personal lives of people can also be managed. In our lives, we are our own managers setting individual goals, managing our finances, planning for the future and collecting data that can be used to analyse our household spending i.e., utility costs. ‘Because personal management is highly individualised, no two people’s approach towards goals will be the same’ (reference.com).
5.) Applications of IoT
5.1) Healthcare
As IoT is predicted to improve efficiency within the healthcare sector, researchers estimate that the IoT Healthcare market will be worth $117 million by 2020. By embedding IoT into medical equipment doctors will be able to monitor patients’ health more effectively, and by storing data from those devices it would be more straightforward to decide which patient requires priority hands on care. All the available data could be analysed to create a system of proactive management where patients are prevented from illnesses rather than cured when it’s too late (Graysen Christopher, 2016).
Equipping patients with IoT enabled wearable devices could increase efficiency by entering all information about the patient i.e., blood pressure, sugar levels directly from the device ready for the appointment. In 2016, NHS began ‘IoT Test Beds Programme’;
5.2) Smart transportation
Another area IoT could be used to improve is transportation; the possibilities are vast and could completely transform how we transport goods and commute. TomTom reports that in London during rush hour, an average journey time increases by 38% in comparison to uncontested roads, in the morning that figure jumps to 63% (TomTom Traffic Index)
Monitoring and controlling traffic lights would contribute greatly towards reducing congestion, and save money in time and fuel wasted.
Sensitive goods transported by long-haul cargo operators are prone to environmental conditions and easily damaged. By installing sensors that constantly monitor temperature, humidity, light and vibration transport companies can eliminate those risks and protect the cargo, and by becoming more specialised also gain more customers (redhat software, 2016). DHL and Cisco estimated in 2015 that IoT technologies could have a total impact of $1.9 Trillion (Meola, 2016).
Source: IoT Brasil, 2015.
Embedding vehicles with IoT devices could also greatly increase road safety for drivers and pedestrians. Following the Road Safety 2013 Report by World Health Organisation;
By equipping cars with sensors, cameras and enabling communication with databases drivers could receive real life updates when driving dangerously to reduce risks and number of causalities associated with road accidents (WHO, 2013; Galinina, Balandin and Koucheryavy, 2016)
Aviation is part of transportation industry that has already been reaping benefits of implementing smart systems into their operations. In 2008 Schiphol Airport in Amsterdam had installed a pioneering luggage scanning system by introducing RIFD to identify luggage and by using robotic arms send the luggage in the right direction. Advancement in technologies allowed airports to introduce more complex systems i.e., Aalborg and Helsinki where systems that track luggage on their journey were introduced in 2010 and 2012 (Lo, 2012).
In 2016 a luggage robot had been trailed at Geneva Airport; testing its ability to collect luggage from passengers before they enter the airport and give out a confirmation receipt passenger would use to retrieve their luggage at airport of their destination. The robot would then make its way to hand the luggage to loading area (Sita, 2016).
Source: Sita, 2016.
5.3) Retail
IoT is already present in retail industry and allows to improve efficiency, customer experience and better manage the supply chain;
In the future IoT will also allow to get insight into doing business in new ways as more companies introduce the technology (Goldman, 2016).
Source: Guy Courtin, Constelation Research, 2015.
By introducing IoT retailers would also become more capable to prevent shrinkage and fraud which are both significant issues and totalled to $128BN loses in 2014 worldwide (GRTB, 2014). The problem is caused not just by shop lifters but also employees who stole $50BN and aren’t as easy to monitor as shoplifters. Introducing smart shelves and system of cameras that monitors stock (statistic-brain, 2015).
On December 5th 2017Amazon opened its the first smart shop in Seattle, using highly advanced technologies customers are scanned upon entering and monitored on their shopping journey in a completely automated store that was made possible using extra sensitive sensors and cameras. Upon leaving the store Amazon would send a list of shopping scanned to the shopper to approve and credit their account (Farrell, 2016).
Source: Amazon, 2016.
5.3a) Negative impact of IoT on employment.
Whilst Amazon is trying to popularise the idea of smart shopping with plans to expand the network of autonomous shops shortly (Bensinger and Stevens, 2016), there are dangers that it could have a disastrous impact on economy and employment. Research published by British Retail Consortium in February 2016 predicts that changes in organisation of work, closure of retail stores and improvements in productivity will cause a loss of up to 900,000 jobs by 2025 (BRC, 2016). Whilst the figure is an estimate, there is an inevitable risk that changes in management and organisational structure caused by IoT implementation enable companies to reduce their employee numbers. Reducing numbers of employees will allow businesses to become more autonomous and unemployment levels can lead to an economy crisis.
Source: British Retail Consortium, 2020 Retail Report, 2016.
6.) Conclusion
6.1) Is IoT new?
Drawing back to the definitions mentioned in section 4.1); the concept behind IoT is not new at all, N. Tesla had visualised the future and conceptualised IoT in his prediction. Unfortunately, at the time no technology was available to put his words into action, however on the other hand, the applications of IoT are new and have only existed in the last 20 years but have been seen applied in different sectors for the last 10 years. Currently market research reports estimate a prosperous future for IoT industry so whilst the concept is old, new ideas for modernised products and new applications will keep emerging. In the future new industries will also emerge designated to manage IoT and manufacture IoT equipment on large scale.
6.2) Is it a trend?
Drawing back to definition of a trend in section 4.2); it is associated with a change of direction, at gradual pace and it can occur in a condition, output or a process that tends to happen in a pattern. On that basis it is right to say that IoT is certainly a trend of today, dating back to early 2010 and before basic IoT projects have started emerging to improve current processes i.e., Airport luggage control. Technological advancement development has increased massively over the years, therefore IoT has since found many applications in several industries, in some ways revolutionising processes and enabling things that seemed unachievable before IoT emerged. Current applications of IoT are already pioneering through saving people’s lives, allowing for large savings, improving comfort of patients shaping a direction for new industries to emerge which draws back to Feigenbaum in section 4.2).
6.3) Management
The first use of the phrase IoT is of large significance when establishing whether it can be considered ‘Management’. It was first referring to management of supply chain; a complex operation that requires many components to work together seamlessly to achieve the objectives; in this case delivery of goods. Through technological advancements the term had gained a much broader meaning and is now used to described very complex networks connected together that can amount of billions of objects.
There are various uses for IoT depending on the sector it’s applied to, i.e., tracking parcels requires far less complexity and advancement than a smart city project. The capabilities applied to the system are tailored to individual requirements and some tasks required to perform are very unique but all IoT environments are designed by human management who set out the requirements and will have their specific needs and reasoning for implementing them. Drawing back to the definitions of management in section 4.3); managers are required to perform a lot of duties, and IoT enables to improve current ways of doing things and introducing new aspects of management which are achieved faster than if delegated to an employee. As quoted by George in 2009 managers apply IT to manage things more efficiently and using IoT is becoming increasingly popular.
Managers plan IoT systems before implementing them and always look for new ways to improve already existing environments. As presented in Section 5.1) of the wiki; The Healthcare sector could benefit greatly from better management of patients through implementing IoT.
It will allow healthcare system/ professionals to;
Amongst many other benefits that will be designed as technology becomes more advanced and cheaper to obtain. Judging by the trends in IoT and technological advancement over the recent years it is safe to assume that systems will grow large and require no human interaction for very prolonged periods of time. It will allow for better management of resources through improved visibility and ability to automate process so much that less employees will be required, jobs will be replaced by robots in great numbers however at this time only short term predictions can be made due to external factors such as policies, politics etc. It is therefore safe to say that IoT is a very efficient management tool from business perspective allowing to reap large benefits by increasing efficiency and reducing costs of running business.
IoT is such broad concept however that its uses in the future will far exceed applications of Today; people will reap personal benefits of its use by being able to better manage their own time, save money, monitor their own health and be in control of many aspects of life in a more accessible way that management of personal chores will be connected and easily controlled from one device. IoT impact on humans however could result in having less interaction with each other in real life because of the availability of IoT products that will connect people remotely in such way that it could substitute the need for human contact.
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